Illinois Compiled Statutes
Chapter 215 - INSURANCE
215 ILCS 134/ - Managed Care Reform and Patient Rights Act.

(215 ILCS 134/1)
Sec. 1.
Short title.
This Act may be cited as the Managed Care Reform and Patient Rights Act.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/5)
Sec. 5.
Health care patient rights.
(a) The General Assembly finds that:
(b) Nothing in this Section shall preclude the health care plan from
sharing information for
plan quality assessment and improvement purposes as required by Section 80.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/10)
Sec. 10. Definitions.
"Adverse determination" means a determination by a health care plan under
Section 45 or by a utilization review program under Section
85 that
a health care service is not medically necessary.
"Clinical peer" means a health care professional who is in the same
profession and the same or similar specialty as the health care provider who
typically manages the medical condition, procedures, or treatment under
review.
"Department" means the Department of Insurance.
"Emergency medical condition" means a medical condition manifesting itself by
acute symptoms of sufficient severity, regardless of the final diagnosis given, such that a prudent
layperson, who possesses an average knowledge of health and medicine, could
reasonably expect the absence of immediate medical attention to result in:
"Emergency medical screening examination" means a medical screening
examination and
evaluation by a physician licensed to practice medicine in all its branches, or
to the extent permitted
by applicable laws, by other appropriately licensed personnel under the
supervision of or in
collaboration with a physician licensed to practice medicine in all its
branches to determine whether
the need for emergency services exists.
"Emergency services" means, with respect to an enrollee of a health care
plan,
transportation services, including but not limited to ambulance services, and
covered inpatient and outpatient hospital services
furnished by a provider
qualified to furnish those services that are needed to evaluate or stabilize an
emergency medical condition. "Emergency services" does not
refer to post-stabilization medical services.
"Enrollee" means any person and his or her dependents enrolled in or covered
by a health care plan.
"Health care plan" means a plan, including, but not limited to, a health maintenance organization, a managed care community network as defined in the Illinois Public Aid Code, or an accountable care entity as defined in the Illinois Public Aid Code that receives capitated payments to cover medical services from the Department of Healthcare and Family Services, that establishes, operates, or maintains a
network of health care providers that has entered into an agreement with the
plan to provide health care services to enrollees to whom the plan has the
ultimate obligation to arrange for the provision of or payment for services
through organizational arrangements for ongoing quality assurance,
utilization review programs, or dispute resolution.
Nothing in this definition shall be construed to mean that an independent
practice association or a physician hospital organization that subcontracts
with
a health care plan is, for purposes of that subcontract, a health care plan.
For purposes of this definition, "health care plan" shall not include the
following:
"Health care professional" means a physician, a registered professional
nurse,
or other individual appropriately licensed or registered
to provide health care services.
"Health care provider" means any physician, hospital facility, facility licensed under the Nursing Home Care Act, long-term care facility as defined in Section 1-113 of the Nursing Home Care Act, or other
person that is licensed or otherwise authorized to deliver health care
services. Nothing in this
Act shall be construed to define Independent Practice Associations or
Physician-Hospital Organizations as health care providers.
"Health care services" means any services included in the furnishing to any
individual of medical care, or the
hospitalization incident to the furnishing of such care, as well as the
furnishing to any person of
any and all other services for the purpose of preventing,
alleviating, curing, or healing human illness or injury including behavioral health, mental health, home health,
and pharmaceutical services and products.
"Medical director" means a physician licensed in any state to practice
medicine in all its
branches appointed by a health care plan.
"Person" means a corporation, association, partnership,
limited liability company, sole proprietorship, or any other legal entity.
"Physician" means a person licensed under the Medical
Practice Act of 1987.
"Post-stabilization medical services" means health care services
provided to an enrollee that are furnished in a licensed hospital by a provider
that is qualified to furnish such services, and determined to be medically
necessary and directly related to the emergency medical condition following
stabilization.
"Stabilization" means, with respect to an emergency medical condition, to
provide such medical treatment of the condition as may be necessary to assure,
within reasonable medical probability, that no material deterioration
of the condition is likely to result.
"Utilization review" means the evaluation of the medical necessity,
appropriateness, and efficiency of the use of health care services, procedures,
and facilities.
"Utilization review program" means a program established by a person to
perform utilization review.

(Source: P.A. 101-452, eff. 1-1-20; 102-409, eff. 1-1-22.)
 
(215 ILCS 134/15)
Sec. 15. Provision of information.
(a) A health care plan shall provide annually to enrollees and prospective
enrollees, upon request, a complete list of participating health care providers
in the
health care plan's service area and a description of the following terms of
coverage:
(a-5) Without limiting the generality of subsection (a) of this Section, no qualified health plans shall be offered for sale directly to consumers through the health insurance marketplace operating in the State in accordance with Sections 1311 and
1321 of the federal Patient Protection and Affordable Care Act of 2010 (Public Law 111-148), as amended by the federal Health Care and Education Reconciliation Act of 2010 (Public Law 111-152), and any amendments thereto, or regulations or guidance issued thereunder (collectively, "the Federal Act"), unless, in addition to the information required under subsection (a) of this Section, the following information is available to the consumer at the time he or she is comparing health care plans and their premiums:
In the event of an inconsistency between any separate written disclosure
statement and the enrollee contract or certificate, the terms of the enrollee
contract or certificate shall control.
(b) Upon written request, a health care plan shall provide to enrollees a
description of the financial relationships between the health care plan and any
health care provider
and, if requested, the percentage
of copayments, deductibles, and total premiums spent on healthcare related
expenses and the percentage of
copayments, deductibles, and total premiums spent on other expenses, including
administrative expenses,
except that no health care plan shall be required to disclose specific provider
reimbursement.
(c) A participating health care provider shall provide all of the
following, where applicable, to enrollees upon request:
(d) A health care plan shall provide the information required to be
disclosed under this Act upon enrollment and annually thereafter in a legible
and understandable format. The Department
shall promulgate rules to establish the format based, to the extent
practical,
on
the standards developed for supplemental insurance coverage under Title XVIII
of
the federal Social Security Act as a guide, so that a person can compare the
attributes of the various health care plans.
(e) The written disclosure requirements of this Section may be met by
disclosure to one enrollee in a household.
(f) Each issuer of qualified health plans for sale directly to consumers through the health insurance marketplace operating in the State shall make the information described in subsection (a) of this Section, for each qualified health plan that it offers, available and accessible to the general public on the company's Internet website and through other means for individuals without access to the Internet.
(g) The Department shall ensure that State-operated Internet websites, in addition to the Internet website for the health insurance marketplace established in this State in accordance with the Federal Act and its implementing regulations, prominently provide links to Internet-based materials and tools to help consumers be informed purchasers of health care plans.
(h) Nothing in this Section shall be interpreted or implemented in a manner not consistent with the Federal Act. This Section shall apply to all qualified health plans offered for sale directly to consumers through the health insurance marketplace operating in this State for any coverage year beginning on or after January 1, 2015.
(Source: P.A. 98-1035, eff. 8-25-14.)
 
(215 ILCS 134/20)
Sec. 20.
Notice of nonrenewal or termination.
A health care plan must
give at least 60
days notice of nonrenewal or termination of a health
care provider to the health care
provider and to the enrollees served by the health care provider.
The notice shall include a name and address to which an enrollee or health care
provider may direct
comments and concerns regarding the nonrenewal or termination.
Immediate written notice may be provided without 60 days notice when a health
care provider's license has been disciplined by a State licensing board.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/25)
Sec. 25. Transition of services.
(a) A health care plan shall provide for continuity of care for its
enrollees as follows:
(b) A health care plan shall provide for continuity of care for new
enrollees as follows:
(c) In no event shall this Section be construed to require a health care
plan
to
provide coverage for benefits not otherwise covered or to diminish or
impair preexisting condition limitations contained in the enrollee's
contract. In no event shall this Section be construed to prohibit the addition of prescription drugs to a health care plan's list of covered drugs during the coverage year.

(Source: P.A. 100-1052, eff. 8-24-18.)
 
(215 ILCS 134/30)
Sec. 30. Prohibitions.
(a) No health care plan or its subcontractors may prohibit or discourage
health care providers
by contract or policy from
discussing any health care services and health care providers, utilization
review and quality assurance policies, terms and conditions of plans and plan
policy with enrollees, prospective enrollees, providers, or the public.
(b) No health care plan by contract, written policy, or procedure may
permit or allow an individual or entity to dispense a different
drug in place of the drug or brand of drug ordered or prescribed without the
express permission of the person ordering or prescribing the drug, except as
provided under Section 3.14 of the Illinois Food, Drug and Cosmetic Act.
(c) No health care plan or its subcontractors may by contract, written
policy, procedure, or otherwise mandate or require an enrollee
to substitute his or her participating primary care physician
under the plan during inpatient hospitalization, such as with a hospitalist physician licensed to practice medicine in all its branches,
without the agreement of that enrollee's
participating primary care physician. "Participating primary care
physician" for health care plans and subcontractors that do not require
coordination of care by a primary care physician means the participating
physician treating the patient. All health care plans shall inform enrollees
of any policies, recommendations, or guidelines concerning the
substitution of the enrollee's primary care physician when hospitalization is
necessary in the manner set forth in subsections (d) and (e) of Section 15.
(d) A health care plan shall apply any third-party payments, financial assistance, discount, product vouchers, or any other reduction in out-of-pocket expenses made by or on behalf of such insured for prescription drugs toward a covered individual's deductible, copay, or cost-sharing responsibility, or out-of-pocket maximum associated with the individual's health insurance. If, under federal law, application of this requirement would result in health savings account ineligibility under Section 223 of the Internal Revenue Code, this requirement applies to health savings account-qualified high deductible health plans with respect to the deductible of such a plan after the enrollee has satisfied the minimum deductible under Section 223, except with respect to items or services that are preventive care pursuant to Section 223(c)(2)(C) of the Internal Revenue Code, in which case the requirement of this subsection applies regardless of whether the minimum deductible under Section 223 has been satisfied.
(e) Any violation of this Section shall be subject to the
penalties under this Act.

(Source: P.A. 101-452, eff. 1-1-20; 102-704, eff. 4-22-22.)
 
(215 ILCS 134/35)
Sec. 35.
Medically appropriate health care protection.
(a) No health care plan or its subcontractors shall retaliate against a
physician or other
health
care provider who advocates for appropriate health care services for
patients.
(b) It is the public policy of the State of Illinois that a physician or any
other health care provider be encouraged to advocate for medically appropriate
health care services for his or her patients. For purposes of this Section,
"to advocate for medically appropriate health care services" means to appeal a
decision to deny payment for a health care service pursuant to the
reasonable grievance or appeal procedure established by a health care plan
or to protest a decision, policy, or practice that the
physician or other health care provider, consistent with that degree of
learning and skill ordinarily possessed by physicians or other health care
providers practicing in the same or a similar locality and under similar
circumstances, reasonably believes impairs the physician's or other health care
provider's ability to provide appropriate health care services to his or her
patients.
(c) This Section shall not be construed to prohibit a health care plan or
its subcontractors from making a
determination not to pay for a particular health care service or to prohibit a
medical group, independent practice association, preferred provider
organization, foundation, hospital medical staff, hospital governing body or
health care plan from enforcing reasonable peer review or utilization
review
protocols or
determining whether a physician or other health care provider has complied with
those protocols.
(d) Nothing in this Section shall be construed to prohibit the governing
body of a hospital or the hospital medical staff from taking disciplinary
actions against a physician as authorized by law.
(e) Nothing in this Section shall be construed to prohibit the Department of
Professional Regulation from taking disciplinary actions against a physician or
other health care provider under the appropriate licensing Act.
(f) Any violation of this Section shall be subject to the penalties under
this Act.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/40)
Sec. 40. Access to specialists.
(a) All health care plans that require each enrollee to select a
health care provider for any purpose including coordination of
care shall
permit an enrollee to choose any available primary care physician licensed to
practice
medicine in all its branches participating in
the health care plan for that purpose.
The health care plan shall provide the enrollee with a choice of licensed
health care providers who are accessible and
qualified. Nothing in
this Act shall be construed to prohibit a health care plan from requiring a
health care provider to meet the health care plan's criteria in order to
coordinate access to health care.
(b) A health care plan shall establish a procedure by which an enrollee who
has a condition that requires ongoing care from a specialist physician
or other health care provider may apply for a
standing referral to a specialist physician or other health care provider if a
referral to a specialist
physician or other health care provider is required for
coverage.
The application shall be made to the enrollee's primary care physician.
This procedure for a standing referral must specify
the necessary criteria and conditions that must be met in order for an enrollee
to obtain a standing referral.
A standing referral shall be effective for the period
necessary to provide the referred services or one year, except in the event of
termination of a contract or policy in which case Section 25 on transition of
services shall apply, if applicable.
A primary care physician may renew and re-renew a standing referral.
(c) The enrollee may be required by the health care plan to select a
specialist physician or other health care provider who has a referral
arrangement with the enrollee's
primary care physician or to select a new primary care physician who has a
referral arrangement with the specialist physician or other health care
provider chosen by the enrollee.
If a health care plan requires an enrollee to select a new physician under
this subsection, the health care plan must provide the enrollee with
both
options provided in this subsection.
When a participating specialist with a referral arrangement is not available,
the primary care physician, in consultation with the enrollee, shall arrange
for the enrollee to have access to a qualified participating health care
provider, and the enrollee shall be allowed to stay with his or her primary
care physician.
If a secondary referral is necessary, the specialist physician or other health
care provider shall advise the primary care physician. The primary care
physician shall be responsible for making the secondary referral. In addition,
the health care plan shall require the specialist physician or other health
care
provider to provide regular updates to the enrollee's primary care physician.
(d) When the type of specialist physician or other health care provider
needed to provide ongoing care
for a
specific condition is not represented in the health care plan's provider
network, the primary care physician shall arrange for the enrollee to have
access to
a qualified non-participating health care provider
within a reasonable distance and travel
time at no additional cost beyond what the enrollee would otherwise pay for
services received within the network. The referring physician
shall notify the plan when a referral is made outside the network.
(e) The enrollee's primary care physician shall remain responsible for
coordinating the care of an enrollee who has received a standing referral to a
specialist physician or other health care provider.
If a secondary referral is necessary, the specialist physician or other health
care provider shall advise
the primary care physician. The primary care physician shall be responsible
for making the secondary referral.
In addition,
the health care plan shall require the specialist physician or other health
care
provider to provide
regular updates to the enrollee's primary care physician.
(f) If an enrollee's application for any referral is denied, an
enrollee may appeal the decision through the
health care plan's external independent review process as provided by the Illinois Health Carrier External Review Act.
(g) Nothing in this Act shall be construed to require an enrollee to select
a new primary care physician when no referral arrangement exists between the
enrollee's primary care physician and the specialist selected by the enrollee
and when the enrollee has a long-standing relationship with his or her primary
care physician.
(h) In promulgating rules to implement this Act, the Department shall
define
"standing referral" and "ongoing course of treatment".

(Source: P.A. 96-857, eff. 7-1-10.)
 
(215 ILCS 134/43)
Sec. 43.
Utilization of health care facilities.
(a) A health care plan must provide its enrollees with a description of
their rights and responsibilities in obtaining referrals to and making
appropriate use of health care facilities when access to their primary care
physician is not readily available.
(b) Nothing in this Section is intended to affect the rights of enrollees or
relieve a health care plan of its responsibilities with respect to the
provision of and coverage of emergency services or treatment of an emergency
medical condition, as those terms are defined by this Act, and as those
responsibilities and rights are otherwise provided under this Act, especially
Section 65 of this Act.

(Source: P.A. 93-540, eff. 8-18-03.)
 
(215 ILCS 134/45)
Sec. 45. Health care services appeals,
complaints, and
external independent reviews.
(a) A health care plan shall establish and maintain an appeals procedure as
outlined in this Act. Compliance with this Act's appeals procedures shall
satisfy a health care plan's obligation to provide appeal procedures under any
other State law or rules.
All appeals of a health care plan's administrative determinations and
complaints regarding its administrative decisions shall be handled as required
under Section 50.
(b) When an appeal concerns a decision or action by a health care plan,
its
employees, or its subcontractors that relates to (i) health care services,
including, but not limited to, procedures or
treatments,
for an enrollee with an ongoing course of treatment ordered
by a health care provider,
the denial of which could significantly
increase the risk to an
enrollee's health,
or (ii) a treatment referral, service,
procedure, or other health care service,
the denial of which could significantly
increase the risk to an
enrollee's health,
the health care plan must allow for the filing of an appeal
either orally or in writing. Upon submission of the appeal, a health care plan
must notify the party filing the appeal, as soon as possible, but in no event
more than 24 hours after the submission of the appeal, of all information
that the plan requires to evaluate the appeal.
The health care plan shall render a decision on the appeal within
24 hours after receipt of the required information. The health care plan shall
notify the party filing the
appeal and the enrollee, enrollee's primary care physician, and any health care
provider who recommended the health care service involved in the appeal of its
decision orally
followed-up by a written notice of the determination.
(c) For all appeals related to health care services including, but not
limited to, procedures or treatments for an enrollee and not covered by
subsection (b) above, the health care
plan shall establish a procedure for the filing of such appeals. Upon
submission of an appeal under this subsection, a health care plan must notify
the party filing an appeal, within 3 business days, of all information that the
plan requires to evaluate the appeal.
The health care plan shall render a decision on the appeal within 15 business
days after receipt of the required information. The health care plan shall
notify the party filing the appeal,
the enrollee, the enrollee's primary care physician, and any health care
provider
who recommended the health care service involved in the appeal orally of its
decision followed-up by a written notice of the determination.
(d) An appeal under subsection (b) or (c) may be filed by the
enrollee, the enrollee's designee or guardian, the enrollee's primary care
physician, or the enrollee's health care provider. A health care plan shall
designate a clinical peer to review
appeals, because these appeals pertain to medical or clinical matters
and such an appeal must be reviewed by an appropriate
health care professional. No one reviewing an appeal may have had any
involvement
in the initial determination that is the subject of the appeal. The written
notice of determination required under subsections (b) and (c) shall
include (i) clear and detailed reasons for the determination, (ii)
the medical or
clinical criteria for the determination, which shall be based upon sound
clinical evidence and reviewed on a periodic basis, and (iii) in the case of an
adverse determination, the
procedures for requesting an external independent review as provided by the Illinois Health Carrier External Review Act.
(e) If an appeal filed under subsection (b) or (c) is denied for a reason
including, but not limited to, the
service, procedure, or treatment is not viewed as medically necessary,
denial of specific tests or procedures, denial of referral
to specialist physicians or denial of hospitalization requests or length of
stay requests, any involved party may request an external independent review as provided by the Illinois Health Carrier External Review Act.
(f) Until July 1, 2013, if an external independent review decision made pursuant to the Illinois Health Carrier External Review Act upholds a determination adverse to the covered person, the covered person has the right to appeal the final decision to the Department; if the external review decision is found by the Director to have been arbitrary and capricious, then the Director, with consultation from a licensed medical professional, may overturn the external review decision and require the health carrier to pay for the health care service
or treatment; such decision, if any, shall be made solely on
the legal or medical merits of the claim. If an external review decision is overturned by the Director pursuant to this Section and the health carrier so requests, then the Director shall assign a new independent review organization to reconsider the overturned decision. The new independent review organization shall follow subsection (d) of Section 40 of the Health Carrier External Review Act in rendering a decision.
(g) Future contractual or employment action by the health care plan
regarding the
patient's physician or other health care provider shall not be based solely on
the physician's or other
health care provider's participation in health care services appeals,
complaints, or
external independent reviews under the Illinois Health Carrier External Review Act.
(h) Nothing in this Section shall be construed to require a health care
plan to pay for a health care service not covered under the enrollee's
certificate of coverage or policy.

(Source: P.A. 96-857, eff. 7-1-10.)
 
(215 ILCS 134/45.1)
Sec. 45.1. Medical exceptions procedures required.
(a) Notwithstanding any other provision of law, on or after
the effective date of this amendatory Act of the 99th General
Assembly, every insurer licensed in this State to sell a policy
of group or individual accident and health insurance or a
health benefits plan shall establish and maintain a medical exceptions process that allows covered persons or their authorized representatives to request any clinically appropriate prescription drug when (1) the drug is not covered based on the health benefit plan's formulary; (2) the health benefit plan is discontinuing coverage of the drug on the plan's formulary for reasons other than safety or other than because the prescription drug has been withdrawn from the market by the drug's manufacturer; (3) the prescription drug alternatives required to be used in accordance with a step therapy requirement (A) has been ineffective in the treatment of the enrollee's disease or medical condition or, based on both sound clinical evidence and medical and scientific evidence, the known relevant physical or mental characteristics of the enrollee, and the known characteristics of the drug regimen, is likely to be ineffective or adversely affect the drug's effectiveness or patient compliance or (B) has caused or, based on sound medical evidence, is likely to cause an adverse reaction or harm to the enrollee; or (4) the number of doses available under a dose restriction for the prescription drug (A) has been ineffective in the treatment of the enrollee's disease or medical condition or (B) based on both sound clinical evidence and medical and scientific evidence, the known relevant physical and mental characteristics of the enrollee, and known characteristics of the drug regimen, is likely to be ineffective or adversely affect the drug's effective or patient compliance.
(b) The health carrier's established medical exceptions procedures must require, at a minimum, the following:
(c) A step therapy requirement exception request shall be
approved if:
(d) Upon the granting of an exception request, the insurer,
health plan, utilization review organization, or other entity
shall authorize the coverage for the drug
prescribed by the enrollee's treating health care provider,
to the extent the prescribed drug is a covered drug under the policy or contract up to the quantity covered.
(e) Any approval of a medical exception request made pursuant to this Section shall be honored for 12 months following the date of the approval or until renewal of the plan.
(f) Notwithstanding any other provision of this Section, nothing in this Section shall be interpreted or implemented in a manner not consistent with the federal Patient Protection and Affordable Care Act of 2010 (Public Law 111-148), as amended by the federal Health Care and Education Reconciliation Act of 2010 (Public Law 111-152), and any amendments thereto, or regulations or guidance issued under those Acts.
(g) Nothing in this Section shall require or authorize the State agency responsible for the administration of the medical assistance program established under the Illinois Public Aid Code to approve, supply, or cover prescription drugs pursuant to the procedure established in this Section.
(Source: P.A. 98-1035, eff. 8-25-14; 99-761, eff. 1-1-18.)
 
(215 ILCS 134/45.2)
Sec. 45.2. Prior authorization form; prescription benefits.
(a) Notwithstanding any other provision of law, on and after January 1, 2015, a health insurer that provides prescription drug benefits must, within 72 hours after receipt of a paper or electronic prior authorization form from a prescribing provider or pharmacist, either approve or deny the prior authorization. In the case of a denial, the insurer shall provide the prescriber with the reason for the denial, an alternative covered medication, if applicable, and information regarding the denial.
In the case of an expedited coverage determination, the health insurer must either approve or deny the prior authorization within 24 hours after receipt of the paper or electronic prior authorization form. In the case of a denial, the health insurer shall provide the prescriber with the reason for the denial, an alternative covered medication, if applicable, and information regarding the procedure for submitting an appeal to the denial.
(b) This Section does not apply to plans for beneficiaries of Medicare or Medicaid.
(c) For the purposes of this Section:
"Pharmacist" has the same meaning as set forth in the Pharmacy Practice Act.
"Prescribing provider" includes a provider authorized to write a prescription, as described in subsection (e) of Section 3 of the Pharmacy Practice Act, to treat a medical condition of an insured.

(Source: P.A. 98-1035, eff. 8-25-14.)
 
(215 ILCS 134/45.3)
Sec. 45.3. Prescription drug benefits; plan choice.
(a) Notwithstanding any other provision of law, beginning January 1, 2023, every health insurance carrier that offers an individual health plan that provides coverage for prescription drugs shall ensure that at least 10% of individual health care plans offered in each applicable service area and at each level of coverage as defined in 42 U.S.C. 18022 apply a flat-dollar copayment structure to the entire drug benefit. Beginning January 1, 2024, every health insurance carrier that offers an individual health plan that provides coverage for prescription drugs shall ensure that at least 25% of individual health care plans offered in each applicable service area and at each level of coverage as defined in 42 U.S.C. 18022 apply a flat-dollar copayment structure to the entire drug benefit. If a health insurance carrier offers fewer than 4 plans in a service area, then the health insurance carrier shall ensure that one plan applies a flat-dollar copayment structure to the entire drug benefit.
(b) Beginning January 1, 2023, every health insurance carrier that offers a group health plan that provides coverage for prescription drugs shall offer at least one group health plan in each applicable service area and at each level of coverage as defined in 42 U.S.C. 18022 that applies a flat-dollar copayment structure to the entire drug benefit. Beginning January 1, 2024, every health insurance carrier that offers a group health plan that provides coverage for prescription drugs shall offer at least 2 group health plans in each applicable service area and at each level of coverage as defined in 42 U.S.C. 18022 that apply a flat-dollar copayment structure to the entire drug benefit.
(c) The flat-dollar copayment structure for prescription drugs under subsections (a) and (b) must be applied pre-deductible and be reasonably graduated and proportionately related in all tier levels such that the copayment structure as a whole does not discriminate against or discourage the enrollment of individuals with significant health care needs.
(d) A health insurance carrier that offers individual or group health care plans shall clearly and appropriately name the plans described in subsections (a) and (b) to aid in the individual or group plan selection process.
(e) A health insurance carrier shall market plans described in subsections (a) and (b) in the same manner as plans not described in subsections (a) and (b).
(f) The Department shall adopt rules necessary to implement and enforce the provisions of this Section.

(Source: P.A. 102-391, eff. 1-1-23.)
 
(215 ILCS 134/50)
Sec. 50.
Administrative complaints and Departmental review.
(a) Administrative complaint process.
(b) Departmental review. The Department shall review the plan decision to
determine
whether it is consistent with the plan and Illinois law and rules. Upon receipt
of the respondent's
report, the Department shall evaluate the material submitted and:
(c) The Department of Insurance and the Department of Public Health shall
coordinate
the complaint review and investigation process. The Department of Insurance and
the Department
of Public Health shall jointly establish rules under the Illinois
Administrative Procedure Act
implementing this complaint process.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/55)
Sec. 55.
Record of complaints.
(a) The Department shall maintain records concerning the complaints filed
against health care plans. To that end, the Department shall require
health care
plans to annually report complaints made to and resolutions by health care
plans in a manner determined by rule. The Department
shall make a summary of all data collected available upon request and publish
the summary on the World Wide Web.
(b) The Department shall maintain records on the number of complaints filed
against each health care plan.
(c) The Department shall maintain records classifying each complaint by
whether the complaint was filed by:
(d) The Department shall maintain records classifying each complaint
according to the nature of the complaint as it pertains to a specific function
of the health care plan. The complaints shall be classified under the
following categories:
(e) The Department shall maintain records classifying the disposition of
each complaint. The disposition of the complaint shall be classified in one of
the following categories:
(f) No Department publication or release of information shall identify any
enrollee, health care provider, or individual complainant.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/60)
Sec. 60.
Choosing a physician.
(a) A health care plan may also offer other arrangements under which
enrollees may
access health care services from contracted providers without a referral or
authorization from their primary care physician.
(b) The enrollee may be required by the health care plan to select a
specialist physician or other health care provider who has a referral
arrangement with the enrollee's
primary care physician or to select a new primary care physician who has a
referral arrangement with the specialist physician or other health care
provider chosen by the enrollee.
If a health care plan requires an enrollee to select a new physician under
this subsection, the health care plan must provide the enrollee with
both
options provided in this subsection.
(c) The Director of Insurance and the Department of Public Health each may
promulgate
rules to ensure appropriate access to and quality of care for enrollees in any
plan that allows enrollees to access health care services from contractual
providers without a referral or authorization from the primary care physician.
The rules may include, but shall not be limited to, a system for the retrieval
and compilation of enrollees' medical records.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/65)
Sec. 65.
Emergency services prior to stabilization.
(a) A health care plan
that provides or that is required by law to provide coverage for emergency
services shall provide coverage such that payment under this coverage is not
dependent upon whether the services are performed by a plan or non-plan health
care provider and without regard to prior authorization. This coverage shall be
at the same benefit level as if the services or treatment had been rendered by
the health care plan physician licensed to practice medicine in all
its branches or health care provider.
(b) Prior authorization or approval by the plan shall not be required for
emergency services.
(c) Coverage and payment shall only be retrospectively denied under the
following circumstances:
(d) When an enrollee presents to a hospital seeking emergency services,
the determination as to whether the need for those
services exists shall be made for purposes of treatment by a
physician licensed to practice medicine in all its branches or, to the extent
permitted by applicable law, by other appropriately licensed
personnel under the supervision of
or in collaboration with a physician licensed to practice medicine in all its
branches.
The physician or other
appropriate personnel shall indicate in the patient's chart the results of the
emergency medical screening examination.
(e) The appropriate use of the 911 emergency telephone system or its local
equivalent shall not be discouraged or penalized by the health care plan when
an emergency medical condition exists.
This provision shall not imply that the use of 911 or its local equivalent is a
factor in determining the existence of an emergency medical condition.
(f) The medical director's or his or her designee's
determination of whether the enrollee meets the standard of an emergency
medical condition shall be based solely upon the presenting symptoms documented
in the medical record at the time care was
sought.
Only a clinical peer may make an adverse determination.
(g) Nothing in this Section shall prohibit the imposition of deductibles,
copayments, and co-insurance.
Nothing in this Section alters the prohibition on billing enrollees contained
in the Health Maintenance Organization Act.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/70)
Sec. 70. Post-stabilization medical services.
(a) If prior authorization for covered post-stabilization services is
required by the health care
plan, the plan shall provide access 24 hours a day, 7 days a week to persons
designated by
the plan to make such determinations, provided that any determination made
under this Section must be made by a health care
professional. The review shall be resolved in accordance with the provisions
of Section 85 and the time requirements of this Section.
(a-5) Prior authorization or approval by the plan shall not be required for post-stabilization services that constitute emergency services under Section 356z.3a of the Illinois Insurance Code.
(b) The treating physician licensed to practice medicine in all its branches
or health care provider shall contact the health care plan or
delegated health care provider as
designated on the enrollee's health insurance card to obtain
authorization, denial, or
arrangements for an alternate plan of treatment or transfer of the
enrollee.
(c) The treating physician licensed to practice medicine in all its
branches or
health care provider shall document in the enrollee's
medical record the enrollee's
presenting symptoms; emergency medical condition; and time, phone number
dialed,
and result of the communication for request for authorization of
post-stabilization medical services. The health care plan shall provide
reimbursement for covered
post-stabilization medical services if:
(d) After rendering any post-stabilization medical services,
the treating physician licensed to practice medicine
in all its branches or health care
provider shall continue to make every reasonable effort to contact the health
care plan
or its delegated health care provider regarding authorization, denial, or
arrangements
for an
alternate plan of treatment or transfer of the enrollee until the
treating health care provider
receives instructions from the health care plan or delegated health care
provider for
continued care or the care is transferred to another health care provider or
the patient is discharged.
(e) Payment for covered post-stabilization services may be denied:
(f) Nothing in this Section prohibits a health care plan from delegating
tasks associated with the responsibilities enumerated in this Section to the
health care plan's contracted health care providers or another
entity. Only a clinical peer may make an adverse determination. However, the
ultimate responsibility for
coverage and payment decisions may not be delegated.
(g) Coverage and payment for post-stabilization medical services for which
prior
authorization or deemed approval is received shall not be retrospectively
denied.
(h) Nothing in this Section shall prohibit the imposition of deductibles,
copayments, and co-insurance.
Nothing in this Section alters the prohibition on billing enrollees contained
in the Health Maintenance Organization Act.

(Source: P.A. 102-901, eff. 7-1-22.)
 
(215 ILCS 134/72)
Sec. 72.
Pharmacy providers.
(a) Before entering into an agreement with pharmacy providers, a
health care plan must establish terms and conditions that must be met by
pharmacy providers desiring to contract with the health
care plan. The terms and conditions shall not discriminate against a pharmacy
provider. A health care plan may
not refuse to contract
with a pharmacy provider that meets the terms and conditions established by the
health care plan.
If a pharmacy provider rejects the
terms and conditions established, the health care plan may
offer other terms and conditions necessary to comply with network adequacy
requirements.
(b) A health care plan shall apply the same co-insurance, copayment, and
deductible factors to all drug prescriptions filled by a pharmacy provider that
participates in the health care plan's network.
Nothing in this subsection, however, prohibits a health care plan
from applying different co-insurance,
copayment, and deductible factors between brand name drugs and generic drugs
when a generic equivalent exists for the brand name drug.
(c) A health care
plan may not set a limit on
the quantity of drugs that an enrollee may obtain at one time with a
prescription unless the limit is applied uniformly to all pharmacy providers in
the health care plan's network.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/75)
Sec. 75.
Consumer advisory committee.
(a) A health care plan shall establish a consumer advisory committee. The
consumer advisory committee shall have the authority to identify and review
consumer
concerns and make advisory recommendations to the health care plan. The health
care plan may also make requests of the consumer advisory committee to provide
feedback to proposed changes in plan policies and procedures which will affect
enrollees. However, the consumer advisory committee shall not have the
authority to hear or resolve specific complaints or grievances, but instead
shall refer such complaints or grievances to the health care plan's grievance
committee.
(b) The health care plan shall randomly select 8 enrollees meeting the
requirements
of this Section to serve on the consumer advisory committee.
The health care plan must continue to randomly select enrollees
until 8 enrollees have agreed to serve on the consumer advisory committee.
Upon initial
formation of the consumer advisory committee, the health care plan shall
appoint 4 enrollees to a 2 year term and 4 enrollees to a one year term.
Thereafter, as an enrollee's term expires, the health care plan shall
re-appoint or appoint an enrollee to serve on the consumer advisory committee
for a 2 year term.
Members of the consumer advisory committee shall by majority vote elect a
member of the committee to serve as chair of the committee.
(c) An enrollee may not serve on the consumer advisory committee if during
the 2 years preceding service the enrollee:
(d) A health care plan's consumer advisory committee shall meet not less
than quarterly.
(e) All meetings shall be held within the State of Illinois. The costs of
the meetings shall be borne by the health care plan.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/80)
Sec. 80. Quality assessment program.
(a) A health care plan shall develop and implement a quality assessment and
improvement strategy designed to identify and evaluate accessibility,
continuity, and quality of care. The health care plan shall have:
(b) The health care plan shall establish a committee that oversees the
quality assessment and improvement strategy which includes physician
and enrollee participation.
(c) Reports on quality assessment and improvement activities shall be made
to the governing body of the health care plan not less than quarterly.
(d) The health care plan shall make available its written description of
the quality assessment program to the Department of
Public Health.
(e) With the exception of subsection (d), the Department of Public Health
shall accept evidence of accreditation with regard to the health care network
quality management and performance improvement standards of:
(f) If the Department of Public Health determines that a health care plan
is not in compliance with the terms of this Section, it shall certify the
finding to the Department of Insurance. The Department of Insurance shall
subject a health care plan to penalties, as provided in this Act, for such
non-compliance.

(Source: P.A. 99-111, eff. 1-1-16.)
 
(215 ILCS 134/85)
Sec. 85. Utilization review program registration.
(a) No person may conduct a utilization review program in this State unless
once every 2 years the person
registers the utilization review program with the Department and certifies
compliance with the Health
Utilization Management Standards of the American Accreditation Healthcare
Commission (URAC) sufficient to achieve American Accreditation Healthcare
Commission (URAC) accreditation or submits evidence of accreditation by the
American
Accreditation Healthcare Commission (URAC) for its Health Utilization
Management Standards.
Nothing in this Act shall be construed to require a health care plan or its
subcontractors to become American Accreditation Healthcare Commission (URAC)
accredited.
(b) In addition, the Director of the Department, in consultation with the
Director of the Department of Public Health, may certify alternative
utilization review standards of national accreditation organizations or
entities in order for plans to comply with this Section. Any alternative
utilization review standards shall meet or exceed those standards required
under subsection (a).
(b-5) The Department shall recognize the Accreditation Association for Ambulatory Health Care among the list of accreditors from which utilization organizations may receive accreditation and qualify for reduced registration and renewal fees.
(c) The provisions of this Section do not apply to:
Nothing in this Act prohibits a health care plan or other entity from
contractually requiring an entity designated in item (3) of this subsection
to adhere to
the
utilization review program requirements of
this Act.
(d) This registration shall include submission of all of the following
information
regarding utilization review program activities:
(e) (1) A utilization review program shall have written procedures for
assuring that patient-specific information obtained during the process of
utilization review will be:
Summary data shall not be considered confidential if it does not provide
information to allow identification of individual patients or health care
providers.
(f) If the Department finds that a utilization review program is
not in compliance with this Section, the Department shall issue a corrective
action plan and allow a reasonable amount of time for compliance with the plan.
If the utilization review program does not come into compliance, the
Department may issue a cease and desist order. Before issuing a cease and
desist order under this Section, the Department shall provide the
utilization review program with a written notice of the reasons for the
order and allow a reasonable amount of time to supply additional information
demonstrating compliance with requirements of this Section and to request a
hearing. The hearing notice shall be sent by certified mail, return receipt
requested, and the hearing shall be conducted in accordance with the Illinois
Administrative Procedure Act.
(g) A utilization review program subject to a corrective action may continue
to conduct business
until a final decision has been issued by the Department.
(h) Any adverse determination made by a health care plan or its
subcontractors may be appealed
in accordance with subsection (f) of Section 45.
(i) The Director may by rule establish a registration fee for each person
conducting a utilization review program. All fees paid to and collected by the
Director under this Section shall be deposited into
the Insurance Producer Administration Fund.

(Source: P.A. 99-111, eff. 1-1-16.)
 
(215 ILCS 134/90)
Sec. 90.
Office of Consumer Health Insurance.
(a) The Director of Insurance shall establish the Office of Consumer
Health Insurance within the Department of Insurance to provide assistance and
information to all health care consumers within the State. Within the
appropriation allocated, the Office shall provide information and assistance to
all health care consumers by:
(b) The report required under subsection (a)(7) shall be filed by January
31, 2001 and each January 31 thereafter.
(c) Nothing in this Section shall be interpreted to authorize access to or
disclosure of individual patient or health care professional or provider
records.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/95)
Sec. 95.
Prohibited activity.
No health care plan or its subcontractors
by contract, written
policy, or procedure shall contain any clause attempting to transfer or
transferring to a health care provider by indemnification, hold harmless, or
contribution requirements concerning any
liability relating to activities, actions, or omissions of the health
care plan or its officers, employees, or agents.
Nothing in this Section shall relieve any person or health care provider
from liability for his, her,
or its own negligence in the performance of his, her, or its duties arising
from treatment of a patient.
The Illinois General Assembly finds it to be against public policy for a
person to transfer liability
in such a manner.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/100)
Sec. 100.
Prohibition of waiver of rights.
No health care plan or
contract shall contain any provision, policy, or
procedure that limits, restricts, or waives any of the rights set forth in this
Act. Any such policy or procedure shall be void and unenforceable.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/105)
Sec. 105.
Administration and enforcement.
The Director of Insurance may adopt rules necessary to implement the
Department's responsibilities under this Act.
To enforce the provisions of this Act, the Director may
issue a cease and desist order or require a health care plan to submit a plan
of correction for violations
of this Act, or both.
Subject to the provisions of the
Illinois Administrative Procedure Act, the Director
may, pursuant to Section 403A of the Illinois Insurance Code, impose upon
a health care plan an administrative fine not to exceed $250,000 for failure to
submit a requested plan of correction, failure to comply with its plan of
correction, or repeated violations of the Act.
Any person who believes that his or her health care plan is in violation of
the
provisions of this Act may file a complaint with the Department. The Department
shall review all complaints received and investigate all of those complaints
that it deems to state a potential violation. The Department shall establish
rules to fairly, efficiently, and timely review and investigate complaints.
Health care plans found to be in violation of this Act shall be penalized in
accordance with this Section.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/110)
Sec. 110.
Applicability and scope.
This Act applies to policies and
contracts
amended, delivered, issued, or renewed on or after the effective date of this
Act.
This Act does not diminish a health care plan's duties and responsibilities
under other federal or State law or rules promulgated thereunder.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/115)
Sec. 115.

Effect on benefits under Workers' Compensation Act and Workers'
Occupational Diseases Act. Nothing in this Act shall be construed to expand,
modify, or restrict the health care benefits provided to employees under the
Workers' Compensation Act and Workers' Occupational Diseases Act.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/120)
Sec. 120.
Severability.
The provisions of this Act are severable under
Section 1.31 of the Statute on Statutes.

(Source: P.A. 91-617, eff. 1-1-00.)
 
(215 ILCS 134/200)
Sec. 200.
(Amendatory provisions; text omitted).

(Source: P.A. 91-617, eff. 8-19-99; text omitted.)
 
(215 ILCS 134/205)
Sec. 205.
(Amendatory provisions; text omitted).

(Source: P.A. 91-617, eff. 1-1-00; text omitted.)
 
(215 ILCS 134/210)
Sec. 210.
(Amendatory provisions; text omitted).

(Source: P.A. 91-617, eff. 1-1-00; text omitted.)
 
(215 ILCS 134/215)
Sec. 215.
(Amendatory provisions, text omitted).

(Source: P.A. 91-617, eff. 1-1-00; text omitted.)
 
(215 ILCS 134/220)
Sec. 220.

(Amendatory provisions; text omitted.)

(Source: P.A. 91-617, eff. 1-1-00; text omitted.)
 
(215 ILCS 134/225)
Sec. 225.

(Amendatory provisions; text omitted.)

(Source: P.A. 91-617, eff. 1-1-00; text omitted.)
 
(215 ILCS 134/230)
Sec. 230.
(Amendatory provisions; text omitted).

(Source: P.A. 91-617, eff. 1-1-00; text omitted.)
 
(215 ILCS 134/235)
Sec. 235.
(Amendatory provisions; text omitted).

(Source: P.A. 91-617, eff. 1-1-00; text omitted.)
 
(215 ILCS 134/240)
Sec. 240.
(Amendatory provisions; text omitted).

(Source: P.A. 91-617, eff. 1-1-00; text omitted.)
 
(215 ILCS 134/245)
Sec. 245.
(Amendatory provisions; text omitted).

(Source: P.A. 91-617, eff. 1-1-00; text omitted.)
 
(215 ILCS 134/250)
Sec. 250.

(Amendatory provisions; text omitted.)

(Source: P.A. 91-617, eff. 1-1-00; text omitted.)
 
(215 ILCS 134/299)
Sec. 299.
Effective date.
This Section and Section 200 of this Act take
effect upon becoming law;
Sections 25 and 85 take effect July 1, 2000; and the remaining Sections of
this Act take effect January 1, 2000.

(Source: P.A. 91-617, eff. 8-19-99.)

Structure Illinois Compiled Statutes